The Direct Marketing Association has launched a certification scheme for telemarketers, aimed toward recognising companies that adjust to privacy regulations and the rules of the phone Preference Service (TPS).
Marketing Week revealed that the scheme, named TPS Assured, was being developed in August, in line with ongoing controversy concerning the volume of nuisance calls received by consumers.
According to John Mitchison, head of the TPS: “The TPS Assured scheme might be useful to revive confidence in telemarketing by helping businesses, consumers and regulators to obviously identify those companies that operate at the right side of the law.”
To meet minimum standards for TPS Assured, telemarketers might want to show records covering a minimum of 10 data points on the subject of marketing calls, including the source of the decision list, the number called and the caller ID exhibited to the recipient.
They may also be required to declare to consumers on whose behalf the decision is being made, and to illustrate processes for complying with regulations and maintaining best practice. It’ll cost businesses £500 plus VAT every time they apply for certification, then £3,000 plus VAT for an initial single-site audit, followed by £1,500 plus VAT for subsequent annual audits to resume their membership.
Mitchison claims that direct marketing companies are unlikely to be deterred by the price: “The cost of complying with the legislation have been much higher prior to now, two years ago the price of a TPS licence was twice up to it truly is now – £4,400 in comparison to the present cost of £2,200.”
Commenting at the launch of TPS Assured, communication minister Ed Vaizey said: “Direct marketing is a sound industry however the public has had enough of nuisance calls from companies simply flouting the principles. We have got encouraged regulators to do so against people that break the law but we’re also keen for industry to enhance best practice. I welcome this initiative by the TPS and hope that it helps to drive up standards.”
The unveiling of TPS Assured follows yesterdays publication of a report by the All-Party Parliamentary Group on Nuisance Calls, chaired by Liberal Democrat MP Mike Crockart, while an action plan from Vaizey at the subject and a separate report by the Culture, Media and Sport Select Committee also are expected imminently.